Arab Today, arab today credit agricole posts 406b q4 loss
Last Updated : GMT 13:32:42
Arab Today, arab today
Arab Today, arab today

Credit Agricole posts $4.06b Q4 loss

Arab Today, arab today

Arab Today, arab today Credit Agricole posts $4.06b Q4 loss

Paris - Arabstoday

Credit Agricole SA, France’s third-largest bank, reported a greater-than-estimated loss in the fourth quarter after setting aside money at its Greek consumer-banking network and writing down investments. The shares also dropped after the net loss widened to 3.07 billion euros ($4.07 billion) from a deficit of 328 million euros a year earlier. That missed analysts’ estimates for a 2.7 billion-euro loss. In 2012, “the main worry is the need for economic growth to get restarted,” Chief Executive Officer Jean-Paul Chifflet said in an interview with Bloomberg Television. The company, which holds the largest lending book in France, plans “to keep financing” the economy, he said. Credit Agricole scrapped its 2011 dividend in December and said it can’t confirm 2014 targets because of “the lack of visibility on the economic and financial climate.” The bank, along with BNP Paribas SA and Societe Generale SA, is cutting investment-banking jobs to reduce costs after Europe’s debt crisis curbed trading revenue, US money-market funds reduced short-term lending to French lenders and regulators imposed stricter capital rules. Credit Agricole fell as much as 21 cents, or 4.2 per cent, to 4.80 euros and was at 4.88 euros in Paris trading. European financial stocks rebounded in the first seven weeks of the year after the European Central Bank provided 489 billion euros to lenders through a three-year refinancing operation in December. BNP Paribas and Societe Generale both said last week that they wrote down their Greek sovereign-debt holdings by 75 per cent. BNP Paribas reported a 51 per cent drop in fourth-quarter earnings on Feb.15, while Societe Generale said the next day that profit in the period declined 89 per cent. Credit Agricole said in a statement that it booked about 2.6 billion euros in writedowns on investments including its stake in Spain’s Bankinter SA and Banco Espirito Santo SA of Portugal in the quarter. The company also had 220 million euros in fourth-quarter markdowns on its Greek sovereign-debt holdings, bringing its average writedown level to 74 per cent. While Credit Agricole’s sovereign-debt provisions for Greece are smaller than those of BNP Paribas, it had a 5.5 billion-euro net refinancing exposure to the country at the end of December through its consumer-banking network Emporiki Bank of Greece SA. The Athens-based unit had a 352 million-euro fourth-quarter loss as provisions for risky loans increased. The French lender spent about 2.2 billion euros in 2006 to amass a controlling stake in the division. Credit Agricole can’t commit to any target for Emporiki to stop the losses, Chifflet said. “It would be quite audacious to say that it is in 2013, 2014,” he said. “We’ll try to do it as fast as possible, but without saying when because it depends a lot on the return to growth in Greece.” Chifflet, 62, plans to reduce “by a maximum” Credit Agricole’s exposure to refinancing Emporiki and expects Portugal to escape the contagion after Greece received a second rescue this week. Greece sealed a 130 billion-euro bailout package by agreeing on Feb.21 to austerity measures while reducing its bond principal by 53.5 per cent as investors swap into new securities with longer maturities and lower coupons. Greek Finance Minister Evangelos Venizelos repeated yesterday that a formal invitation for the bond exchange will be made by Feb.24. Real losses from the swap may be more than 70 per cent, analysts have said. Credit Agricole’s corporate-and investment-banking unit had a fourth-quarter loss of 1.2 billion euros compared with a 263 million-euro profit a year earlier, hurt by a one-time 1.05 billion-euro capital-markets goodwill writedown and higher losses from subprime-era assets the lender is winding down, according to Bloomberg calculations from bank data. The corporate-and investment-banking division also booked 336 million euros in one-time costs as it closes businesses and cuts jobs. Credit Agricole’s corporate and investment bank will close operations in 21 countries, remaining active in 32, while ending its equity-derivatives business, the firm said Dec.14.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today credit agricole posts 406b q4 loss Arab Today, arab today credit agricole posts 406b q4 loss

 



Arab Today, arab today
Arab Today, arab today Prepares to present her new collection

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today 11 family members dead in rebel push

GMT 07:57 2017 Tuesday ,21 February

11 family members dead in rebel push
Arab Today, arab today To probe sexual harassment claims

GMT 10:08 2017 Tuesday ,21 February

To probe sexual harassment claims
View News in Arabic - Business: مصارف
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Kidogo provides childcare for underserved

GMT 20:24 2017 Wednesday ,15 February

Kidogo provides childcare for underserved
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today London to tax old cars

GMT 14:06 2017 Friday ,17 February

London to tax old cars
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Ahmed Fahmy stresses he did not ignore singing

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing
Arab Today, arab today Teach monkeys to recognize themselves in mirror

GMT 20:41 2017 Wednesday ,15 February

Teach monkeys to recognize themselves in mirror

GMT 21:11 2017 Saturday ,18 February

Egypt to hold first session of Arab film festival

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women

GMT 10:26 2017 Tuesday ,14 February

Emergency UN meeting in Harare

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 14:51 2017 Monday ,20 February

Ways to acquire presentation skills

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 13:16 2017 Tuesday ,14 February

First fashion model with Down syndrome
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday